ANNEAR NANCY A PROMISSORY NOTE 2006

isoP'y PROMISSORY NOTE Deferred Payment Loan Applicant Name(s): NANCY A. ANNEAR HAS: CGG ID#: CC -4233 Property Address: 3499 CUMBERLAND GAP CT., PLEASANTON. CA 94588 PHONE #: (925) 846 -6125 DATE: MAY 9, 2006 FOR VALUE RECEIVED, the undersigned hereby promises to pay to the City of Pleasanton, or other holder, the principal sum of Thirty -Five Thousand Dollars and 00 /100 ($35,000.00). This Note will accrue simple interest at a rate of five (5) percent annually for a term of ten (10) years. However, the undersigned shall pay interest at the rate of seven (7) percent per year if this Note shall not be paid when due. This Note is due and payable upon the sale, conveyance, assignment, hypothecation, or any other transfer to any party(ies) of any interest of the undersigned in the property described in the Deed of Trust executed this date by the undersigned and the described below. In addition, this Note is due and payable if the property shall cease to be the principal residence of the undersigned, except as may be necessitated from medical reasons. All payments hereunder shall be made in lawful money of the United States of America at the office of Holder at the City of Pleasanton, Planning Department, 123 Main Street, Pleasanton, Ca 94566, or other places as Holder may from time to time designate in writing. Any prepayment of this loan shall require payment of the entire amount of principal plus interest accrued to the nearest date. Any refinancing and/or subordination must be approved in advance by CDA. Cash out from the refinancing is generally not allowed (repayment of unsecured debt from refinancing is considered cash out). CDA generally prohibits transfer of title into a living trust, unless CDA redetermines the trust benefactors meet our program eligibility criteria. Presentment, demand, protest, and notice are hereby expressly waived by the undersigned. Should payment hereof not be made when due, the undersigned further promises to pay all costs of collection, including, without limitation, attorney's fees, incurred by Holder in connection herewith. The Note is secured by a Deed of Trust, and Holder, as beneficiary, reference to which is hereby made for additional terms and conditions affecting this Note. This Note shall be governed and construed in accordance with the laws of the State of California. If the undersigned is more than one, each covenant and obligation contained herein shall be joint and several. NANCY A. ANNEAR Da e The Principal on this Promissory Note is hereby reduced to $ due to unused contingency funds. All other terms and conditions of this Promissory Note and Deed of Trust executed in conjunction with this Promissory Note remain the same. Holder Date